USDA indicated last week the eastern Corn Belt’s crop will not be big enough to offset the losses seen in the western Corn Belt. The Money Farm market analyst Luke Swenson is surprised USDA went that route. “We’ve been arguing with some of our bigger Corn Belt customers in the last few months that say the corn crop will be huge. We’ve been telling them if you take 30 bushels off of the crop growing in the Dakotas and Minnesota, you need Iowa and Illinois to beat trendline yield by 16 bushels per acre to offset that. When you start to see stand issues pop up, that’s what’s rippling through the report. I thought a 2.5 bushel reduction from the USDA was a lot to ask for and we got a five bushel reduction.”
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